COLOMBIA: Bolsa de Valores Colombia Applies Changes to Stock Trading

Monday September 14 2015

The Colombian Securities Exchange (BVC) has announced several changes to the Equity Market trading, which entered into force on 14th September 2015, aimed at stimulating the market, improving liquidity and complying even further with international trading standards.

The first of the changes announced allows the trading of “non-liquid instruments” during the entire trading day, through 13 continuous auctions of 29 minutes each. Previously, they could only be traded during the opening and closing auctions.

Additionally, the amount of the price reporting, a parameter that is taken into account to determine the maximum, minimum, last and closing prices of stocks, will drop from 66,000 UVR (COP 14,192,178) to 23,000 UVR (COP 5,000,000), thus complying with international standards.

Furthermore, new ranges to the stocks in order to provide a wider range of prices and facilitate trading on the continuous market will be introduced.

Finally, the reference price of the stocks that have not been traded in over six months will not be updated to the reference price of equity value per share, which had been the practice, but will rather consider the last transaction that marked the price irrespective of its age.

Click on the link above for further details.